Decline in pending orders in the manufacturing industry observed.
April saw a minor dip in industrial order inventory, according to the Statistical Office in Wiesbaden, as they announced on a Wednesday. Compared to the previous month, the real order volume reduced by 0.5%. On a yearly basis, the order volume saw a calendar-adjusted drop of 5.6%.
The decrease in order inventory was primarily driven by the automobile industry, as reported by statisticians, and this trend has been ongoing for several months. In April, the order volume in this sector declined for the 15th consecutive month, decreasing by 3.0% compared to March.
The reach of the order inventory dwindled from 7.2 months to 7.1 months during the same period. This represents the time that companies theoretically have to produce without any new order intakes to process their existing orders.
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The order backlog in the manufacturing industry also experienced a decline in April, aligning with the overall reduction in industrial order inventory. Additionally, this decrease in order backlog might affect the trading activity in the coming months.
